Consider the following statements: 1. The manufacturing sector contributes to 17% of GDP and employs 20% of the workforce in the country.2. Southern and Eastern Indian states tend to have the highest average productivity in manufacturing sector. Which of the statements given above is/are correct? |ForumIAS

Q. Consider the following statements:
1. The manufacturing sector contributes to 17% of GDP and employs 20% of the workforce in the country.
2. Southern and Eastern Indian states tend to have the highest average productivity in manufacturing sector.
Which of the statements given above is/are correct?

[A] 1 only

[B] 2 only

[C] Both 1 and 2

[D] Neither 1 nor 2

Answer: A

Notes:

Explanation: Status of Manufacturing Sector:

· Contribution to GDP – Manufacturing sector contributes to 17% of GDP and employs 20% of the workforce in the country.

· Most of India’s GDP now comes from the services sector while millions continue to languish in the agriculture sector.

· The share of manufacturing both in India’s GDP or overall employment has largely stayed stagnant.

· Western and Central Indian states tend to have the highest average productivity in manufacturing, while the Southern and Eastern states have the lowest.

· This is in contrast to the GDP per capita ranking of states, in which Southern states tend to have higher incomes than their Western and Central counterparts.

Source: FORUMIAS

Post-Mains Strategy Session by Mr. Ayush Sinha | ForumIAS